Bitcoin (BTC) Is Locked in a Tight Trading Range, Hovering Just Above Key Support

Bitcoin is locked in a tight trading range, hovering just above key support. Priced near $85,190, BTC holds above the critical $83,627 level.

Bitcoin price is trading in a tight range on Friday, remaining above a key support level.

What Happened, Level to Watch

Bitcoin (CRYPTO: BTC) is trading at $85,189.0 at the time of writing, remaining above the critical support at $83,627, which is the short-term holder realized price, noted analyst Ali Martinez.

The next resistance level for Bitcoin is at $86,000, and a break above this level could see Bitcoin continue to rally towards the key resistance at $91,275, which is the long-term holder realized price.

Also, Bitcoin whales, or those holding 100+ BTC, bought over 3x the daily new supply today, which is another bullish sign for Bitcoin.

Meanwhile, Ethereum (CRYPTO: ETH) price is trading at $1,596.45 at the time of writing. It is currently facing resistance at its 20-day EMA, which stands at $1,668.

According to Martinez, ETH is now below its lower MVRV Price Band, which is a historical buy zone for long-term investors.

Top Movers: Solana Rises 4%

Among other major cryptocurrencies, Solana (CRYPTO: SOL) is a top mover, showing strength with a nearly 4% gain in 24-hour trading.

Galaxy Digital (TSX: GLXY) recently withdrew 606k SOL (≈$79.7M) from exchanges and staked 462k SOL (≈$60M) in the past 4 days, reported crypto monitoring platform Lookonchain.

This action directly reduces the circulating supply of SOL, which could contribute to SOL’s outperformance against BTC and ETH.

Next, Binance Coin (BNB) is approaching its 20-day EMA at $589 from the lower levels. It is currently priced at $590.26.

Ravel, a crypto trader, pointed out that BNB has faced strong resistance at the 20-day EMA throughout August, leading to several bounces from this moving average.

Moreover, XRP is nearing its 20-day EMA of $2.08 from below, currently trading at $2.084. Finally, Cardano (CRYPTO: ADA) is attempting to reclaim its 20-day EMA of $0.6277 from the lower levels as it trades at $0.6283.

Last Week's Altcoin Breakout

The broader altcoin market is also showing bullish signs. The TOTAL2 chart, which is the crypto market cap excluding Bitcoin, recently broke out from a falling wedge, supported by the MACD turning up from negative territory and the price forming higher lows.

Now above $950 billion and nearing $1 trillion, TOTAL2’s breakout signals renewed altcoin momentum. The wedge target suggests a potential move to $1.1 trillion in the short term, and a continuation could propel it towards $1.3 trillion.

According to Fibonacci extensions, higher resistance levels for the altcoin market cap lie at $1.163T, $1.3T, and $1.47T. These levels could be reached if we witness a strong capital rotation from Bitcoin into altcoins.